(Source: Business Wire)
The law firm of Stull, Stull & Brody announces that it has filed on
November 18, 2009 a class action complaint in the U.S. District Court
for the Southern District of New York on behalf of all persons who
purchased or otherwise acquired shares in the ProShares UltraShort Dow30
Fund (the "DXD Fund") (NYSE: DXD), an exchange-traded fund ("ETF")
offered by ProShares Trust ("ProShares"), pursuant or traceable to
ProShares' false and misleading Registration Statement, Prospectuses,
and Statements of Additional Information (collectively, the
"Registration Statement") issued in connection with shares of the DXD
Fund (the "Class"). The Class is seeking to pursue remedies under
Sections 11 and 15 of the Securities Act of 1933 (the "Securities Act").
In addition to the claims concerning ProShares DXD Fund, Stull, Stull &
Brody is also investigating claims on behalf of investors in other
ProShares leveraged funds (the "Funds") (see list below), such as
whether ProShares failed to disclose in its registration statements: (i)
that if shares of the Funds were held for a time period longer than one
day, the likelihood of massive losses was huge; and (ii) the extent to
which performance of the Funds would invariably diverge from the
performance of the benchmark.
Fund Ticker Symbol
Ultra Financials Fund (NYSE: UYG)
UltraShort Oil & Gas (NYSE: DUG)
UltraShort S&P500 Fund (NYSE: SDS)
UltraShort FTSE/Xinhua China 25 (NYSE: FXP)
UltraShort DJ-UBS Crude Oil (NYSE: SCO)
Ultra Oil & Gas (NYSE: DIG)
UltraShort QQQ (NYSE: QID)
UltraShort Russell3000 (NYSE: TWQ)
UltraShort MidCap400 (NYSE: MZZ)
UltraShort SmallCap600 (NYSE: SDD)
UltraShort Russell2000 (NYSE: TWM)
UltraPro Short S&P500 (NYSE: SPXU)
UltraShort Russell1000 Value (NYSE: SJF)
UltraShort Russell1000 Growth (NYSE: SFK)
UltraShort Russell MidCap Value (NYSE: SJL)
UltraShort Russell MidCap Growth (NYSE: SDK)
UltraShort Russell2000 Value (NYSE: SJH)
UltraShort Russell2000 Growth (NYSE: SKK)
UltraShort Basic Materials (NYSE: SMN)
UltraShort Consumer Goods (NYSE: SZK)
UltraShort Consumer Services (NYSE: SCC)
UltraShort Health Care (NYSE: RXD)
UltraShort Industrials (NYSE: SIJ)
UltraShort Semiconductors (NYSE: SSG)
UltraShort Technology (NYSE: REW)
UltraShort Telecommunications (NYSE: TLL)
UltraShort Utilities (NYSE: SDP)
UltraShort MSCI EAFE (NYSE: EFU)
UltraShort MSCI Europe (NYSE: EPV)
UltraShort MSCI Pacific ex-Japan (NYSE: JPX)
UltraShort MSCI Brazil (NYSE: BZQ)
UltraShort MSCI Japan (NYSE: EWV)
UltraShort MSCI Mexico Investable Market (NYSE: SMK)
UltraShort 7-10 Year Treasury (NYSE: PST)
UltraShort 20+ Year Treasury (NYSE: TBT)
UltraShort DJ-UBS Commodity (NYSE: CMD)
UltraShort Gold (NYSE: GLL)
UltraShort Silver (NYSE: ZSL)
UltraShort Euro (NYSE: EUO)
UltraShort Yen (NYSE: YCS)
Ultra QQQ (NYSE: QLD)
Ultra Dow30 (NYSE: DDM)
Ultra S&P500 (NYSE: SSO)
Ultra Russell3000 (NYSE: UWC)
Ultra MidCap400 (NYSE: MVV)
Ultra SmallCap600 (NYSE: SAA)
Ultra Russell2000 (NYSE: UWM)
UltraPro S&P500 (NYSE: UPRO)
Ultra Russell1000 Value (NYSE: UVG)
Ultra Russell1000 Growth (NYSE: UKF)
Ultra Russell MidCap Value (NYSE: UVU)
Ultra Russell MidCap Growth (NYSE: UKW)
Ultra Russell2000 Value (NYSE: UVT)
Ultra Russell2000 Growth (NYSE: UKK)
Ultra Basic Materials (NYSE: UYM)
Ultra Consumer Goods (NYSE: UGE)
Ultra Consumer Services (NYSE: UCC)
Ultra Health Care (NYSE: RXL)
Ultra Industrials (NYSE: UXI)
Ultra Real Estate (NYSE: URE)
Ultra Semiconductors (NYSE: USD)
Ultra Technology (NYSE: ROM)
Ultra Telecommunications (NYSE: LTL)
Ultra Utilities (NYSE: UPW)
Ultra DJ-UBS Commodity (NYSE: UCD)
Ultra DJ-UBS Crude Oil (NYSE: UCO)
Ultra Gold (NYSE: UGL)
Ultra Silver (NYSE: AGQ)
Ultra Euro (NYSE: ULE)
Ultra Yen (NYSE: YCL)
Ultra MSCI EAFE (NYSE: EFO)
Ultra MSCI Emerging Markets (NYSE: EET)
Ultra FTSE/Xinhua China 25 (NYSE: XPP)
Ultra MSCI Japan (NYSE: EZJ)
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The complaint names ProShares, ProShare Advisors LLC, SEI Investments
Distribution Co., Michael L. Sapir, Louis M. Mayberg, Russell S.
Reynolds, III, Michael Wachs, and Simon D. Collier as defendants
(collectively, "Defendants"). ProShares sells its Ultra and UltraShort
ETFs as "simple" directional plays. As marketed by ProShares, Ultra ETFs
are designed to go up when markets go up; UltraShort ETFs are designed
to go up when markets go down. The DXD Fund is one of ProShares'
UltraShort ETFs. The DXD Fund seeks investment results that correspond
to twice (200%) the inverse (opposite) of the daily performance of the
Dow Jones Industrial Average ("DJIA"). Accordingly, the DXD Fund is
supposed to deliver double the inverse of the return of the DJIA, which
decreased approximately 34 percent from January 2, 2008 through December
31, 2008. In other words, the DXD Fund should have increased by 68
percent during this period. However, the DXD Fund rose only
approximately seven percent during this period. Likewise, in 2009,
through July 30, 2009, the DJIA increased approximately four percent.
Rather than decrease approximately eight percent (double the inverse),
the DXD Fund fell approximately 24 percent.
The complaint alleges the Defendants violated the Securities Act by
failing to disclose the following risks, inter alia, in the Registration
Statement: (1) if DXD Fund shares were held for a time period longer
than one day, the likelihood of catastrophic losses was huge; and (2)
the extent to which performance of the DXD Fund would inevitably diverge
from the performance of the DJIA -- i.e., the overwhelming probability,
if not certainty, of spectacular divergence.
If you purchased or otherwise acquired ProShares DXD shares, and either
lost money on the transaction or still hold the shares, you may apply to
the Court to serve as lead plaintiff in the action no later than
November 30, 2009. A "lead plaintiff" is a representative party that
acts on behalf of other class members in directing the litigation. In
order to be appointed lead plaintiff, the Court must determine that the
class member's claim is typical of the claims of other class members,
and that the class member will adequately represent the class. Under
certain circumstances, one or more class members may together serve as
lead plaintiff. Your ability to share in any recovery is not, however,
affected by the decision whether or not to serve as a lead plaintiff.
You may retain Stull, Stull & Brody, or other counsel of your choice, to
serve as your counsel in this action. Stull, Stull & Brody has litigated
many class actions for violations of securities laws in federal courts
over the past 40 years and has obtained court approval of substantial
settlements on numerous occasions. Stull, Stull & Brody maintains
offices in New York and Los Angeles.
If you wish to discuss this action or the investigation regarding any of
the Funds listed above, or if you have any questions concerning this
notice or your rights or interests with respect to these matters, please
contact Aaron Brody, Esq. at Stull, Stull & Brody by e-mail at ssbny@aol.com,
or by calling toll-free 1-800-337-4983, or by fax to 1-212-490-2022, or
by writing to Stull, Stull & Brody, 6 East 45th Street,
New York, NY 10017. You can also visit our website at www.ssbny.com.
Attorney Advertising. Prior Results Do Not Guarantee A Similar Outcome.
A service of YellowBrix, Inc.
